Business

Headline 2: Pecos County project touts private grid

Updated
Feb 2, 2026 7:54 PM
News Image

State regulators have granted approval for an air permit associated with a significant energy and data center project in West Texas. Supporters say it will be the largest campus of its kind in the US.

This month, the Texas Commission on Environmental Quality has approved the development of up to 7.65 gigawatts of gas-fired power generation at Pacifico Energy’s proposed GW Ranch. The facility will be situated on an expansive 8,000-plus-acre site located approximately 17 miles north of Fort Stockton in the Permian Basin.

A newly issued permit allows the deployment of both small- and large-scale natural gas turbines to provide electricity to on-site data centers. Pacifico Energy has announced that its project is the “largest power project in the United States” and is the largest permitted data center campus in the nation.

Constantyn Gieskes, vice president of project development at GW Ranch, stated, “Receiving TCEQ approval for the largest power project in the United States is a defining milestone for GW Ranch and clears a critical path for delivering power at a scale the market urgently needs.”

Pacifico announced that the campus will operate on a private grid, integrating natural gas generation with solar and battery storage. The company has announced that the new structure is designed to facilitate rapid growth in artificial intelligence and digital infrastructure, all while avoiding reliance on the state’s main grid and preventing any increase in costs for Texans.

Nationwide electricity demand from large data centers has increased significantly, putting pressure on regional grids and raising concerns about reliability and consumer pricing. Pacifico has announced plans to establish dedicated on-site generation, aiming to protect ratepayers from increased load costs.

The company anticipates initiating power services for customers in the first half of 2027, with plans to expand capacity beyond 5 gigawatts. Authorities have announced that the construction project is expected to create thousands of temporary jobs and hundreds of permanent positions and to increase local tax revenue.

The project site is strategically located in the core of the Permian Basin’s oil and gas corridor, situated southwest of Odessa. Pacifico has designated GW Ranch as the forefront of AI innovation in Texas, highlighting the state's ongoing efforts to attract energy-intensive technology investments alongside its established fossil fuel sector.

CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image
CTA Image

Access exclusive content and analysis.

From breaking news to thought-provoking opinion pieces, our newsletter keeps you informed and engaged with what matters most. Subscribe today and join our community of readers staying ahead of the curve.